The Real Reason For Bandwidth Caps?

Each time a new technology comes along, the old guard tries to stay entrenched, and keep the new technology from taking over. Almost always, the new, better technology usually wins out in some form. Look at the resistance to FM radio by AM broadcasters, and the resistance to cable by over the air broadcasters, etc. Well, we might be at the edge of another change, and Apple could be right in the middle of this one.

Comcast will begin implementing a 250GB monthly data cap. Ostensibly this cap is intended to curb rampant file sharing, and ensure network capacity for everyone. Maybe though, this is really intended to curb the rise of devices like Apple TV, and other competing boxes.

Cable companies are first and foremost TV providers. They do a healthy business, especially in OnDemand content. Devices like the Apple TV threaten to take away that cash cow, and to make the cable company little more than a utility provider.

At today's data rates, 250GB seems like enough, even for the most intensive Apple TV user. Look a few years down the road, though. Imagine an Apple TV that's streaming HD television and live events all day long. Now imagine two or three boxes in the house, along with increased wifi use from devices like the iPhone.

What will happen when technology reaches this cap not just for the rampant content pirate, but for the average TV viewer?
Is internet congestion a reality that will require caps, or are caps being used to suppress the expansion of services that cut into the bottom line of service providers?

Apple and Klausner Technologies Settle Visual Voicemail Dispute

Ahhh, another lawsuit has come and gone for Apple regarding patent violations.  In December of this past year, Klausner Technology accused Apple of appropriating Klausner’s patent for visual voicemail and joined eBay and AT&T in the suit.  The technology references the visual voicemail feature used in Apple’s iPhone.

Apple, eBay and AT&T settled the suit agreeing to license the visual voicemail technology under a non-exclusive deal.  The financial negotiations of settlement were not disclosed.

        Klausner has already licensed the coveted technology to Time Warner’s AOL for AOL voicemail services as well as Vonage for their Voicemail Plus services.  Comcast and Cablevision Systems Corp. are rumored to be in negotiations with the visual voicemail giants.  Comcast is looking to use the technology to send a visual alert your computer or cell phone when you have a new voicemail.  It seems there are never-ending possibilities to being connected.

this article based on information found at www.newsfactor.com

March Fantasy Apple Merger: Comcast

(Each month we weigh the pros and cons of a particular potential merger for Apple. Please note the "fantasy" part of this speculation: Many times the mergers mentioned couldn't or wouldn't be realistically possible. But put all that aside and enjoy this month's edition of Fantasy Merger.)

With Apple's revamped Apple TV, or more specifically, the "Take Two" software enhancements, critics seem to universally agree that Apple TV is better than it was. Many though, lament that there's still no way to record shows to the box, and that it cannot serve as a cable box replacement. Another box to have to hook up, and one without a dvd player is a barrier for many people.

It has also become clear in the past few weeks that Apple does not offer nearly the movie selection for rent as other outlets. Take Comcast's OnDemand movie offerings, for example.

Apple's plans seems set on a world in which the concept of networks disappear, and people are free to watch whatever they want to, whenever they like. Tivo has been but a small taste of Apple's ultimate network-free model.

Of course, there are a few problems with that future. For one, the cable companies have been doing just fine providing traditional network television. And, for those who enjoy live programming like sports and news, the cable connection is key to getting those programs as they happen. 

But now, go down the rabbit hole.. to a world in which Comcast and Apple are one. For the sake of this discussion, we'll assume Apple was able to outright purchase Comcast (not financially possible, but that's why we call it fantasy merger!). Now imagine that all those Comcast boxes in the universe are replaced by Apple TVs, or given Apple TV features. The resulting service would create a seamless experience: whether you want to watch podcasts, rent movies, or buy TV shows, it would all be handled by one device. And with Apple as an internet provider to millions, the possibilities to enhance/fix .mac become incredible. Personal photo albums from iPhoto/.mac could be made easily available to family members all over the country. And because Apple would control "the pipe" to the home, they would have tremendous leverage in dealing with the major networks, maybe dismantling the whole concept of networks, for better or worse, in the process.

What do you think? What other pros and cons would come from this merger?